UBS CEO says AI investors had been pricing for 'perfection' until sector's sharp correction

Advertisement Business UBS CEO says AI investors had been pricing for 'perfection' until sector's sharp correction 09 Nov 2026 10:43AM (Updated: 09 Nov 2026 01:25PM) Bookmark Bookmark Share WhatsApp Telegram Facebook Twitter Email LinkedIn Set CNA as your preferred source on Google Add CNA as a trusted source to help Google better understand and surface our content in search results. Read a summary of this article on FAST. Get bite-sized news via a new cards interface. Give it a try. Click here to return to FAST Tap here to return to FAST FAST SYDNEY, Nov 9 : UBS Chief Executive Sergio Ermotti said on Monday a sharp correction in AI stocks over the last few weeks had been a reaction to excessively high hopes that investors had had for the sector. Speaking at a UBS conference in Sydney, Ermotti said recent US midterm election results and the global debate about the implications of building up infrastructure could lead to delays in the AI sector delivering outcomes. "And the market until very recently — of course in the last few weeks we saw some correction — has been pricing perfection." Ermotti said while he was optimistic AI development would generate positive economic outcomes, that he personally believed "the timing on how quickly we will get there, it's a little bit exaggerated." CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Trillions of dollars of world stock market value were wiped out last week over fears that Democratic election victories would bring tighter US regulations for the AI industry, though Wall Street equities mostly rallied on Friday. Ermotti added that some aspects of UBS' own implementation of AI into its operations had been "slowed down" by the integration of Credit Suisse, which it agreed to acquire in a Swiss government-brokered rescue in 2023. The collapse of Credit Suisse has also left UBS facing the prospect of tougher regulation in Switzerland, and the Zurich-based lender is assessing the long-term consequences of ​proposed new capital requirements​ for ⁠its ability to compete from its Swiss base. On Monday, he described the country's response to the situation as "extremely emotional" and "idiosyncratic", contrasting it to authorities in the US and Europe that he said recognised the unintended consequences of over-regulation. Source: Reuters Newsletter Week in Review Subscribe to our Chief Editor’s Week in Review Our chief editor shares analysis and picks of the week's biggest news every Saturday. Sign up for our newsletters Get our pick of top stories and thought-provoking articles in your inbox Subscribe here Get the CNA app Stay updated with notifications for breaking news and our best stories Download here Get WhatsApp alerts Join our channel for the top reads for the day on your preferred chat app Join here Advertisement Also worth reading Content is loading... Advertisement Expand to read the full story Get bite-sized news via a new cards interface. Give it a try. Click here to return to FAST Tap here to return to FAST FAST